The Virtus Artificial Intelligence & Technology Opportunities Fund (AIO) is experiencing upward momentum, driven by several key developments in the AI and technology sectors. Notably, the AI venture capital market has shown resilience amid broader market challenges, with a 24% increase in deal count in Q3 2024, according to CB Insights. This surge in AI deal activity highlights sustained investor interest and confidence in AI as a long-term growth driver. Additionally, the U.S. continues to lead in AI funding, accounting for two-thirds of all deals, which underscores the sector's robust investment landscape. Furthermore, the recent release of a bipartisan AI policy blueprint by Congress aims to foster responsible AI innovation, potentially providing a supportive regulatory environment for AI advancements.
Micron Technology's strong fiscal Q1 2025 results, with a revenue increase to $8.71 billion, also contribute to the positive sentiment in the technology sector. The company's record quarter, driven by data center revenue surpassing 50% of total revenue, reflects the growing demand for AI-related applications. This aligns with TrendForce's findings of significant growth in the enterprise SSD market, fueled by AI-driven demand. These developments indicate a favorable environment for AI and technology investments, which are central to AIO's portfolio.
The AIO ETF rose to $23.94, marking a 1.27% increase from the previous close as of 12:15 PM on December 20, 2024.